Abstract:

In the process of global climate governance of last thirty years, there hasn’t been accurate definition of climate finance, while the connotation of which has been evolved significantly. In this study, a climate finance analyzing framework was established with 4 dimensions and 10 indicators, including dimensions on origin, quantity, flow direction and usage, and indicators of geographic boundary, legal character, nominal quantity, real quantity, specific accounting requirements induced by laws, provider, recipient, channel, purpose, and financial instrument, which was then applied to analyze the evolution of climate finance under global governance. It is found that the most significant evolution is the changing of climate finance as mandatory obligation of Parties included in the Annex II of the UNFCCC to two different connotations, i.e., climate finance as obligation under international law and climate finance as global action. It is also found the difference in the order of magnitude among climate finance estimation, reporting and initiative is mainly caused by scope ambiguity and inconsistency of accounting standards. It is then recommended to acknowledge the two different definitions of climate finance, establish unified climate finance accounting methodology across the world, and enhance transparency of climate finance information, in order to enhance the implementation of obligations and responsibilities on climate finance under international climate treaties, as well as to enhance international cooperation.

Key words: Climate change, Global climate governance, Climate finance, Climate treaty, Climate negotiation